Companies often find themselves wrestling with the choice between offering a Trial or adopting a Freemium model. My take? Opt for neither, because Reverse Trials are simply.. better.
Trials are a great way to convert customers from free to paid. But traditional trial methods, especially those that require a credit card upfront, can slow the top of your funnel by deterring potential users at the very start, often hindering early engagement and leaving customers feeling shortchanged when the trial isn't long enough.
Conversely, pure freemium models draw in a large number of initial users and encourage high product usage, but they typically struggle to convert free users into paying customers—even the best performers see only a 5% conversion rate.
The Reverse Trial strategy ingeniously combines the best aspects of both approaches. It starts every new signup on a trial—usually without needing an opt-in or a credit card—and gives customers access to all or a select set of paid features. After…
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